Ask Terry Questions HECM for purchase

HECM for purchase

By Terry Savage on April 28, 2015 | Housing / Real Estate

What is your opinion of HECM for purchase ?
Thank You

Terry Says:  While most RMs are used to allow people to remain in their current home and have the income to maintain the property and taxes, there are more instances of Home Equity Conversion Loans (HECMs) or RMs being used to downsize and purchase a new home.  Here’s what  has to say about that:

The new home is purchased outright, using funds from the sale of the old home, private savings, gift money and other sources of income, which are then combined with the reverse mortgage proceeds. This home buying process leaves you with no monthly mortgage payments.

While study after study reveals that an overwhelming percentage of seniors want to continue living in their current home for as long as possible, for some people that isn’t the best, or safest, option. HECM for Purchase offers a solution to downsize into a place that’s more easily navigable, possibly more energy efficient, with lower maintenance costs, or which is closer to friends and family.



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